Irish leader Leo Varadkar has said that while challenges would be faced under a no-deal Brexit, it would not lead to a recession or medicine and food shortages.
On Friday, the Taoiseach, who was in Lismore, Co Waterford, to open a new heritage center, said: “Our projections are the economy will slow down but we won’t go into recession. While there will be an increase in unemployment and jobs will be lost, more jobs that that will be created, so there will be net growth in employment.
“We do not anticipate a return to austerity. We do not anticipate pay cuts or welfare cuts or income tax increases, or any of those things that people experienced ten years ago.
“That’s not to say it won’t impact our economy adversely.”
Varadkar did acknowledge that from November 1st there would be tariffs as well as checks near the Border in the event of a disorderly UK withdrawal, reports The Irish Times.
Regarding the new controls, he said: “One thing I can reassure business is that they are not going to wake up one morning to a big surprise. There will be a lead-in time.”
His comments to reassure the public came after it was reported that Cabinet was told that a no-deal Brexit could result in the loss of up to 10,000 jobs in the tourism and hospitality sectors.
Speaking of his first formal bilateral meeting with British prime minister Boris Johnson to be held on Monday, Varadkar said the meeting is "an opportunity to establish a personal relationship," reports the BBC.
Varadkar said: "It's an opportunity for us to talk about each other's positions in relation to the European Union and the withdrawal agreement, to explore where there might be common ground.